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Ayayai Corporation has 8,600 shares of $100 par value, 8%, preferred stock and 53,500 shares of $10 par value common stock outstanding at December 31,

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Ayayai Corporation has 8,600 shares of $100 par value, 8%, preferred stock and 53,500 shares of $10 par value common stock outstanding at December 31, 2020. Answer the questions in each of the following independent situations. (a) If the preferred stock is cumulative and dividends were last paid on the preferred stock on December 31, 2017, what are the dividends in arrears on December 31, 2020, balance sheet? The amount of dividends in arrears on the December 31, 2020 How should these dividends be reported? The cumulative dividend is as a liability {b} if the preferred stock is convertible into 7 shares of $10 par value common stock and 4.100 shares are converted, what entry is required for the conversion assuming the preferred stock was issued at par value? (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter for the amounts:) Account Titles and Explanation Debit Credit (c) If the preferred stock was issued at $108 per share how should the preferred stock be reported in the stockholders equity section (Enter account name only and do not provide descriptive Information) Ayayal Corporation Balance Sheet (Partial) The amount of dividends in arrears on the December 31, 2020 How should these dividends be reported? The cumulative dividend is as a liability (b) If the preferred stock is convertible into 7 shares of $10 par value common stock and 4,100 shares are converted, what entry is required for the conversion assuming the preferred stock was issued at par value? (Credit account titles are automatically indented when amount is entered. Do not Indent manually. If no entry is required, select "No Entry" for the account titles and enter for the amounts.) Account Titles and Explanation Debit Credit (c) If the preferred stock was issued at $108 per share, how should the preferred stock be reported in the stockholders' equity section (Enter account name only and do not provide descriptive information.) Ayayal Corporation Balance Sheet (Partial)

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